David Schwartz, the Chief Technology Officer of Ripple, has put forth a proposal for the integration of an automated market maker (AMM) feature into the XRP Ledger (XRPL). However, Schwartz has made it clear that this addition should only proceed if there is a consensus within the XRPL community.
Schwartz took to social media platform X (formerly Twitter) to engage with the XRPL community regarding the AMM feature. In his initial post, Schwartz expressed his interest in AMMs as a compelling component of decentralized finance.
The XRP Ledger is a decentralized blockchain that features XRP as its native cryptocurrency. It is renowned for its exceptional speed and scalability, making it well-suited for a wide range of financial applications, including cross-border payments and remittances.
Responding to a query from a community member about the timeline for implementing AMMs on the XRPL following governance voting, Schwartz indicated that if the majority of the community supports the amendment, the changes could be implemented in as little as two weeks.
In general though, validators shouldn't vote YES individually. The community should make a decision and then validators should nearly all vote YES when they believe the community is on board and enough nodes support the change.
— David "JoelKatz" Schwartz (@JoelKatz) October 6, 2023
The amendment voting process is intended to…
Elaborating on the significance of a majority vote, Schwartz underscored that, to the best of his knowledge, no validators currently endorse the vote. The introduction of the AMM feature coincided with the release of rippled version 1.12.0, which also introduced the potential clawback feature. Integrating an AMM goes beyond simply adding a new trading engine; it opens the door for integration with the XRPL decentralized exchange.
Despite the importance of this feature, Schwartz advised validators against independently voting to promote these changes. Instead, he stressed that “the community should reach a consensus first, and then validators should overwhelmingly vote YES when they perceive that the community is in agreement and sufficient nodes endorse the adjustment.”
In addition to his leadership role at Ripple, David Schwartz is well-known for his informative articles and his unwavering commitment to advancing decentralization principles.
Recently, he clarified misconceptions surrounding the clawback feature, which had been viewed by some as an encroachment on XRPL users. Schwartz clarified that the feature’s purpose is to shield developers from potential legal liabilities within the XRPL ecosystem.
As the XRPL community navigates these potential changes and enhancements, the importance of collaboration, consensus-building, and maintaining the decentralized ethos remains at the forefront of discussions. The integration of an AMM feature has the potential to further expand the utility and versatility of the XRPL, enhancing its position in the world of blockchain and finance.
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